Regulatory Alerts2025-01-01
Circular No. 2025/180: Criminal Method Used in Fraud
The Palestine Monetary Authority issued Circular No. 2025/180 to alert banks and customers about a new fraud scheme where criminals impersonate bank staff to extract One-Time Passwords (OTP) under the guise of stopping unauthorized transactions. The regulator mandates that banks must continuously educate clients on these risks through periodic awareness campaigns and materials distributed across branches and social media. Additionally, banks are required to report any newly discovered fraud methods and patterns to the Authority's Anti-Money Laundering and Counter-Terrorism Financing Department.
Palestine Monetary Authority
Circular No. (2025/ 180) To all banks operating in Palestine Date: Sunday, December 28, 2025
Subject: Criminal Method Used in Fraud
The Palestine Monetary Authority urges banks to exercise caution and vigilance, and to work on raising awareness among customers and citizens regarding a newly emerging criminal method used in electronic financial fraud. This method involves fraudsters impersonating bank employees and contacting customers via telephone to inquire about payment transactions for purchases from online stores that were attempted to be executed on their accounts using bank cards. The fraudster then attempts to convince the victims that the purchases in question are attempts at electronic financial fraud, and that it is necessary for the customer to provide the caller with the verification code (OTP) received on their mobile phone for the purpose of the bank completing the procedures to block the card used in the fraud and issuing a new card in its place.
The Palestine Monetary Authority emphasizes the necessity of the following:
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Continuing to educate customers and citizens periodically about fraud methods and ways to prevent them, and working on preparing and designing awareness brochures and videos on this subject, and publishing them in the bank's branches and offices as well as through its social media channels.
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Reporting to our Anti-Money Laundering and Counter-Terrorism Financing Department the fraud methods and patterns that have been discovered and are newly emerging.
Supervision Group Palestine Monetary Authority
www.pma.ps Ramallah & Al-Bireh Governorate - Palestine P.O. Box 452 - Ramallah and Al-Bireh Governorate - Palestine P.O. Box info@pma.ps | Fax: +970 2 2415310 | Tel: +970 2 2415251 | Postal code: P6160675 | Email: